Licensees' service worries if buyer is not found for ITV Digital

Licensees who subscribe to ITV Digital could find themselves without a service if a buyer for the channel is not found.

Earlier this week the channel's administrators, Deloitte and Touche, admitted it had not been possible to restructure the company and it was put up for sale.

Owners Granada and Carlton have reassured customers that while the sale is being discussed the service will continue.

But in the long term the contracts signed by licensees and other customers hang in the balance because they depend on which company buys the channel and what it decides to do with the business.

The service was launched last summer as a rival to Sky. But it went into administration last month after it admitted it could not afford to pay the Football League the remaining £178m it owes on its three-year deal to show Nationwide League and Worthington Cup matches.

Administrators investigated ways to save the channel but have now decided a sale is the best course of action.

A spokesman for the administrators said: "We are now in discussions with the Independent Television Commission (ITC) about an accelerated process leading to a sale as a going concern."

The ITC issued a statement reassuring customers their service would continue while the sale process goes on. A further statement about how the sale will be handled is expected.

Related stories:​

Decision day approaches for ITV Digital subscribers (19 April 2002)

Future of troubled ITV Digital under discussion (16 April 2002)

Government reassures licensees of ITV Digital's continued services (4 April 2002)